Indonesia to Become ASEAN's Biggest Stock Market

Indonesia to Become ASEAN's Biggest Stock Market

Indonesia, Southeast Asia’s largest economy, is finally poised to take the title of the biggest equity market in the region.

Its market value of $529 billion has nearly matched that of slumping Thailand, which snatched the top spot from Singapore in May, buoyed by a strengthening baht.

With its currency giving back some gains and economic growth trailing forecasts, the SET Index is the region’s only benchmark to decline in the past three months.

In contrast, Indonesia’s Jakarta Composite Index has gained 5.5% in U.S. dollar terms during that period. President Joko Widodo is embarking on a new round of infrastructure projects and pursuing reforms to stimulate the fourth-most populous country in the world.

Keterangan Gambar (© Pemilik Gambar)

"There is a big opportunity in Indonesia, ” said Vincent Mortier, deputy chief investment officer at Amundi Asset Management, which manages about 1.56 trillion euros ($1.74 trillion) of assets. "It has a growth story, political landscape and valuations.” He rates Thailand underweight "because of its weak economy, ” he said.

Indonesia’s PT Bank Central Asia now ranks as the region’s biggest company by value, at about $62 billion, ahead of Singapore’s DBS Group Holdings Ltd. and Thailand’s PTT Pcl.

Keterangan Gambar (© Pemilik Gambar)

To be sure, the biggest Southeast Asian market ranks 21st globally, according to data compiled by Bloomberg. Moreover, eight individual companies are worth more than the market of either Thailand or Indonesia, including three trillion-dollar firms: Saudi Arabian Oil Co., Apple Inc. and Microsoft Corp.

Bloomberg calculates market capitalization using only actively traded, primary stocks on each country’s exchanges, excluding securities such as exchange-traded funds. - Bloomberg

Akhyari Hananto

I began my career in the banking industry in 1997, and stayed approx 6 years in it. This industry boost his knowledge about the economic condition in Indonesia, both macro and micro, and how to More understand it. My banking career continued in Yogyakarta when I joined in a program funded by the Asian Development Bank (ADB),as the coordinator for a program aimed to help improve the quality of learning and teaching process in private universities in Yogyakarta. When the earthquake stroke Yogyakarta, I chose to join an international NGO working in the area of ?disaster response and management, which allows me to help rebuild the city, as well as other disaster-stricken area in Indonesia. I went on to become the coordinator for emergency response in the Asia Pacific region. Then I was assigned for 1 year in Cambodia, as a country coordinator mostly to deliver developmental programs (water and sanitation, education, livelihood). In 2009, he continued his career as a protocol and HR officer at the U.S. Consulate General in Surabaya, and two years later I joined the Political and Economic Section until now, where i have to deal with extensive range of people and government officials, as well as private and government institution troughout eastern Indonesia. I am the founder and Editor-in-Chief in Good News From Indonesia (GNFI), a growing and influential social media movement, and was selected as one of The Most Influential Netizen 2011 by The Marketeers magazine. I also wrote a book on "Fundamentals of Disaster Management in 2007"?, "Good News From Indonesia : Beragam Prestasi Anak Bangsa di dunia"? which was luanched in August 2013, and "Indonesia Bersyukur"? which is launched in Sept 2013. In 2014, 3 books were released in which i was one of the writer; "Indonesia Pelangi Dunia"?, "Indonesia The Untold Stories"? and "Growing! Meretas Jalan Kejayaan" I give lectures to students in lectures nationwide, sharing on full range of issues, from economy, to diplomacy Less
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